Mortgage payment calculator insights
This difference between interest rates is large enough that it is likely to make up for what you will need to pay in refinancing fees. However, your own situation may not fit the formula. If you do not stay in the house long enough for the savings from the lower interest to equal the refinancing fees you paid, you will actually lose money from the refinance. Another reason to refinance mortgage loans is to get a lower monthly payment. If you are strapped for cash, being able to put less of your earnings into your mortgage can significantly ease your budget.